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How Does Musk's Government Funding Compare To Competitors?

Posted by Soulskill on from the all-about-the-benjamins dept.

Rei writes: We recently discussed an article in the LA Times complaining about how Elon Musk has built his corporate empires — Solar City, Tesla Motors and SpaceX — on the back of government subsidies. However, how does the funding compare in context to various competitors? USC professor Greg Autry breaks it down, noting among other things that SpaceX's competitors have benefited from decades of tremendous government money and a launch monopoly, while the Volt receives — on a percentage basis — 2 1/2 times greater subsidy than a Model S, and was developed on the government's dime.

9 of 216 comments (clear)

  1. Lies, Damn lies and Statistics by jklovanc · · Score: 4, Insightful

    while the Volt receives — on a percentage basis — 2 1/2 times greater subsidy than a Model S, and was developed on the government's dime.

    Maybe that is because a Model S costs 2.4 times that of a Volt. On a per vehicle basis they are almost the same.

  2. Tesla isnt for everyday people by mOzone · · Score: 1, Insightful

    Elon Musk has alot of fans and fanboys. Government helped him out thats cool better then all those start-up's and solar turds that died that took all that money 4 years ago. but i think people would like musks cars and ideas if they where more practical to more people. most his cars wont see mass usage for along time. they are cool and they make for good youtube videos and car magazine reads. but intill tesla has a car that will travel long range its just a toy for someone with a bmw or benz all ready siting in garage . i dont see the cheaper model 3 being any better ..seeing how used volts sell for 11k-16k . tesla isnt bad just its not for travelers or common people ..its a apple watch with wheels

    1. Re:Tesla isnt for everyday people by rogoshen1 · · Score: 3, Insightful

      well dude, in that case you're right, a tesla isn't for you. But your particular situation is absolutely (and I think you can even admit this) not the norm.

      I like the volt as well, but it seems a bit sluggish, whereas the tesla looks like it would still be pretty fun to drive.

  3. Subsidies in the form of tax write-offs by QuietLagoon · · Score: 3, Insightful
    If you really want to look at government subsidies, look at how much, or more correctly, how little huge companies pay in income taxes.

    .
    For instance, General Electric is always whining about taxes, yet pays a small percentage of revenue in taxes. It's an example of a corporation that is focused on taking, not giving.

    So if you want to complain about excessive government subsidies, don't just look at one industry.

  4. Re:Who Cares? by Talderas · · Score: 3, Insightful

    There's a storyline going on right now.

    Musk is frequently portrayed as a great symbol of free enterprise. Someone likely got sick of this and looked into how much government money Musk's companies were receiving. That in turn generated this particular response to point out the fraction of government money that Musk's companies received compared to competitors.

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    "Lack of speed can be overcome. In the worst case by patience." --Znork
  5. Re:Pointless study by cahuenga · · Score: 3, Insightful

    A Volt already starts at less than half the price Tesla S. I would suggest you go look at an S. Tesla's expense is not due to some idea of an infant technology, it's built like a luxury car.

  6. Seems pointless point to me. What am I missing? by aussersterne · · Score: 5, Insightful

    The reason we use government funding to incentivize things is because we as a public want people to do/build/invent/fix those things and are willing to pay for that to happen.

    So Elon Musk comes along and says he will and then he does. And then we pay him what, as a public, we planned to pay (via those incentives) to whoever did them.

    Seems like everything is going according to plan, for all involved, and that we're lucky enough to have found something of a one-stop-shop for incentivized work that few others are willing to take on, but that seems to really move the needle on tech progress for something other than consumer electronics gadgets.

    Win/win all around. Smells like right wing paranoia and demagoguery to me in here.

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    STOP . AMERICA . NOW
    1. Re:Seems pointless point to me. What am I missing? by sysrammer · · Score: 1, Insightful

      The reason we use government funding to incentivize things is because we as a public want people to do/build/invent/fix those things and are willing to pay for that to happen.

      That's what a market does...

      Incorrect.

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      His ignorance covered the whole earth like a blanket, and there was hardly a hole in it anywhere. - Mark Twain
  7. Re:Wipe your mouth, Slashdot by turp182 · · Score: 4, Insightful

    Musk is changing industries, big ones. From finance (Paypal, I know, it does suck, but alternatives are few and far between), solar, battery, electric cars, and space flight.

    Jobs was a pioneer of computing but ended up a design specialist (good function and things like rounded corners).

    I am a fanboy or no one. But I have to respect Musk as he doesn't talk about things, he does them. Richard Branson probably wishes he was Elon Musk...

    I appreciate all of the Slashdot stories referring to Musk's activities. I don't actively seek out such information, but Slashdot provides it. And you certainly can't make an argument that the stories' topics aren't Slashdot fodder. Musk is a technical innovator of the highest standard, I don't believe anyone compares to him at this moment in time.

    In conclusion, skip the story if you don't give a shit. That's what I do and I don't find myself needing to criticize or complain about story topics.

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    BlameBillCosby.com